News
9:55 am
Wed February 20, 2013

Riverside's Dispute With State Tax Provision

The state of Ohio wants a federal judge to dismiss a city's lawsuit seeking to tax civilian employees and contractors who work on part of Wright-Patterson Air Force Base.

The city of Riverside's lawsuit argues that a provision of Ohio's municipal income tax law preventing it from collecting taxes from employees at the base is unconstitutional. Riverside says the law provides an arbitrary and unjustifiable tax exemption to some government employees and contractors. The state's motion contends that federal courts don't have jurisdiction over lawsuits filed against a state by its citizens. The city lost a similar case in state courts. Riverside announced in 2007 it would begin collecting taxes on civilian employees who work on a portion of the base in the city near Dayton.